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Foreign direct investment has also ensured a number of employment opportunities by aiding the setting up of industrial units in the host country. Any firm that wishes to take part in foreign direct investment should realize that it is important to understand the market expectations. A firm which offers foreign direct investment to developing countries may find itself making more profits. A desire to be close to large supplies of raw materials may be incentive for supporting foreign direct investment. Firms may wish to participate in foreign direct investment to widen their export base for goods or services. Large amounts of potential customers will find out about your firm when you undertake foreign direct investment. Companies that take part in foreign direct investment get opportunities for exploring new global markets, thereby generating higher incomes and profits.
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